Dissecting ‘Opportunity to See’

May 11, 2020

NEW STUDY BY MAGNA AND IPG MEDIA LAB QUANTIFIES HOW OFTEN NON-FRAUDULENT DIGITAL AD IMPRESSIONS ARE WASTED BECAUSE NO ONE IS PRESENT

Dissecting ‘Opportunity to See’ Reveals That When Digital Ads Appear on Screen, A Person is Present 99.2% of the Time, But That Begins to Drop After 2+ Seconds

NEW YORK – May 11, 2020 – Thus far, the advertising industry has primarily focused on only one of the factors that determines “opportunity to see” digital ads – whether the ad actually appears on the screen. What is often not discussed is the other factor that offers a non-fraudulent digital ad an “opportunity to be seen” – a person is present when the ad is on screen. To date, human presence has often been overlooked by the industry because it is difficult to measure, and because ads are served to personal devices like mobile phones. Thus, it is presumed that someone is present when a digital ad is on screen. While it seems logical, no one has actually tested this conjecture until now.

This concept of human “presence” is a common concern for TV ads given the fact that people often leave the room during commercial breaks. In fact, MAGNA, IPG Media Lab, and TVision recently quantified how often an ad airs to an empty room, which is 29% of the time. As a follow-up, a new study by MAGNA and IPG Media Lab, “Dissecting ‘Opportunity to See,’” tested the presumption that a person is present when digital ads appear on the screen, in an effort to quantify how often digital ads appear without the person present.

Presence is defined as a person in the same visual range (for >=1 sec) of a digital ad that fully appears on the screen (the person may or may not be looking at the screen). A major finding from the study is that while presence is very high at first (99.2%), it does decline. For example, 94% of non-skippable video ads reached six or more seconds of human presence.

For the study, participants used in-home POV cameras to record their digital viewing experiences across PC and mobile devices in a natural environment over the course of two weeks. In each instance, the camera was mounted to the participant’s head in order to obtain a view of where they are in relation to their digital device, and a screen recorder was turned on their PC and mobile devices to capture what’s on the screen. The study included 102 participants, with 1,004 hours of video recorded and analyzed.

“It’s crucial for marketers to accurately understand both of the components that determine whether ads have the opportunity to be seen”, said Kara Manatt, SVP, Group Director, Intelligence Solutions, MAGNA Global. “While the industry has a strong understanding of ‘ads on screen’, we’ve yet to understand whether we should expect a person to always be present. This research finally quantifies this for us and provides invaluable insight into consumer behavior.”

Additional key findings include:

There was nearly total presence regardless of device and for both digital video (98.4%) and display (100%).

All video positions are not created equally; digital presence for pre-roll video sat at 99.5%, compared to mid-roll video at 97.1%.

Overall, 97.7% of digital video ads had presence for 2+ seconds.

Presence, however, declines over time indicating the continued need for the industry to understand how to best capture and hold consumer attention.

The full study can be found here. As mentioned earlier, the study was a follow up to research conducted by MAGNA and IPG Media Lab, in partnership with TVision, “Quantifying TV Viewability,” which revealed how often people are in the room when ads air and how this varies by daypart, position in ad pod and ad length.

MAGNA is the centralized IPG Mediabrands resource that develops intelligence, investment and innovation strategies for agency teams and clients. We utilize our insights, forecasts and strategic relationships to provide clients with a competitive marketplace advantage.

MAGNA harnesses the aggregate power of all IPG media investments to create leverage in the market, negotiate preferred pricing and secure premium inventory to drive maximum value for our clients. The MAGNA Investment and Innovation teams architect go-to-market investment strategies across all channels including linear television, print, digital and programmatic on behalf of IPG clients. The team focuses on the use of emerging media opportunities, as well as data and technology-enabled solutions to drive optimal client performance and business results.

MAGNA Intelligence has set the industry standard for more than 60 years by predicting the future of media value. The MAGNA Intelligence team produces more than 40 annual reports on audience trends, media spend and market demand as well as ad effectiveness.

About IPG Media Lab

Part of the Interpublic network, the IPG Media Lab identifies and researches innovations and trends that will change the media landscape and how brands engage with their audiences. Since 2006, the Lab has worked with our clients and with industry partners who can help them best adapt to disruptive change. Its expertise, resources and consulting services also help to inform the learnings, strategies and business outcomes of all Interpublic agencies. For more information, please visit www.ipglab.com or follow @ipglab.

From Cookies to People

April 8, 2020

‘From Cookies to People’ Shares How the Identification of High Value Audiences (HVAs) Yields Precision That Cookies Can’t and Is Ultimately More Effective for Advertisers

NEW YORK – April 8, 2020 – From mass market, to household demos, to individual demo, and finally, to big data, the advertising industry has undoubtedly come a long way in how it reaches people. While traditional methods enabled us to reach large audiences based on reported behavior, a new study by MAGNA and IPG Media Lab reveals that new, advanced technologies, using people-based IDs, yield precision that cookies simply can’t. “From Cookies to People: Reaching High Value Audiences” demonstrates how the added precision with High Value Audiences (HVAs) can aid brands in their reach efforts with the hope of no wasted impressions. The study used Kinesso’s database in order to ethically source and identify HVAs. Other strategies were also tested in the study, such as demo, contextual, and demo + contextual.

More specifically, HVAs are defined as specific personas that are identified as having more lifetime value than a consumer reached via traditional methods, like demographics, and are highly customized based on variables such as category status and psychographics. These segments are created from a large data set with audience behavior tracked at the consumer level. Modeling is used to predict conversions from behaviors.

Brands can identify HVAs for a variety of different reasons, from reaching a particularly niche audience to converting consumers currently using a competitor product/service. There’s no one-size-fits-all for HVA strategies.

Key insights from the study include:

Identifying HVAs goes beyond simply zeroing in on those who are already going to buy; the tested HVAs were efficiently reaching potential new customers.

Ads were more memorable among tested HVAs and were especially effective at fostering a strong brand image. While contextual targeting drove brand resonance as well and is seen as being worth a premium, campaign reach can still be an issue.

HVAs were persuaded to purchase the brand, up +8% compared to +4% Demo, +4% Contextual and +6% Demo + Contextual. In addition, HVAs were particularly effective at driving purchase intent among in-market consumers, despite being least likely to have purchased the brand before.

The tested HVAs were particularly critical of ads not customized to them. However, when tested HVAs saw creative that they perceived as relevant, the ads were more effective, presenting a clear opportunity to customize creative for HVAs.

“Utilizing HVAs is one of the most precise and effective ways for advertisers to reach the best possible audiences on linear and digital video, and I believe it’s the future of our industry,” said Dani Benowitz, President, U.S., MAGNA. “We’re at a point in time where we’re able to save impressions from being wasted for advertisers, and in turn, are able to deliver content to viewers that they want to see since it is so targeted to their interests, which is a win-win for everyone.”

“We’ve been pleased to see interest around utilizing HVAs rise fourfold over the past three years as brands become more sophisticated in their marketing efforts,” said Michael Heberle, Chief Marketing Scientist, Kinesso. “It’s been a game changer for our clients, who have driven drastic improvements in business performance through better targeting.”

In order to identify HVAs, the study’s methodology involved recruiting YouTube users for participation from a nationally representative panel using Kinesso’s database of privacy-safe, best-in-class providers. Participants selected online video topics based on personal interests and those that were not interested were screened out to ensure a natural audience. Randomization was introduced into the test and control groups (Test= Brand Ad; Control = Public Service Announcement; 50% skippable ads; 50% non-skippable ads). Participants visited YouTube’s testing page where they selected and played the video content based on their interests, and relevant behavior was tracked. The targeting strategies used included HVA targeting, demo targeting, contextual targeting, and demo + contextual targeting.

MAGNA is the centralized IPG Mediabrands resource that develops intelligence, investment and innovation strategies for agency teams and clients. We utilize our insights, forecasts and strategic relationships to provide clients with a competitive marketplace advantage.

MAGNA harnesses the aggregate power of all IPG media investments to create leverage in the market, negotiate preferred pricing and secure premium inventory to drive maximum value for our clients. The MAGNA Investment and Innovation teams architect go-to-market investment strategies across all channels including linear television, print, digital and programmatic on behalf of IPG clients. The team focuses on the use of emerging media opportunities, as well as data and technology-enabled solutions to drive optimal client performance and business results.

MAGNA Intelligence has set the industry standard for more than 60 years by predicting the future of media value. The MAGNA Intelligence team produces more than 40 annual reports on audience trends, media spend and market demand as well as ad effectiveness.

About IPG Media Lab

Part of the Interpublic network, the IPG Media Lab identifies and researches innovations and trends that will change the media landscape and how brands engage with their audiences. Since 2006, the Lab has worked with our clients and with industry partners who can help them best adapt to disruptive change. Its expertise, resources and consulting services also help to inform the learnings, strategies and business outcomes of all Interpublic agencies. For more information, please visit www.ipglab.com or follow @ipglab.

The Anatomy of a Video Experience

March 11, 2020

NEW STUDY BY MAGNA, IPG MEDIA LAB AND VEVO REVEALS THE FACTORS THAT DRIVE VIEWER CHOICE FOR DEVICE AND VIDEO SELECTION

“The Anatomy of a Video Experience” Provides Insights for Advertisers on How Best to Deliver Brand Messages to Receptive Audiences across Devices

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NEW YORK – March 11, 2020 – It’s no secret that the video device landscape is fragmented. In fact, the average U.S. home owns over 10 connected devices. Understanding the nuances is key for advertisers looking to reach receptive audiences and better inform their future planning efforts. “The Anatomy of a Video Experience,” a study conducted by MAGNA, IPG Media Lab and Vevo, explores the many ways consumers view video across devices, and what motivates their viewing habits.

The natural nuances of video experiences were tracked across various devices such as Over-the-Top (OTT), Linear TV (LTV), PC and Mobile, in order to uncover the 5 W’s of Video Consumption: Why, What, When, Where and Who.

The study found that viewers have no true “go-to” device to watch video and in fact, device selections are made in the moment based on situational factors. For example, viewers select OTT for video/audio quality, select LTV for exclusive content, and select mobile and PC for accessibility.

Additional key findings of the study include:

Consumers are in vastly different mindsets on each video device. For example, people have relaxation in mind when watching on bigger screens, and utility on PC.

Audio attention reigns supreme, even in a video environment, with the highest full attention to audio at 56% on PC, as opposed to highest full attention to visual, 44% on OTT. Video ads should rely on more than just visuals to get its message across.

Video co-viewing offers a sweet spot for advertisers, offering purpose-driven viewing, longer session lengths, and higher receptivity. In fact, OTT was the best device for co-viewers (49%), and they are especially attentive on it (43%).

The music genre is strongly tied to positive moods and high cultural relevance, allowing advertisers to reach music video viewers in moments where their brand message will resonate most. This is especially true for music video consumption on OTT, where ad receptivity is particularly high (co-viewing ~68%; solo viewing ~ 58%).

LTV users are more likely browsing on other digital devices if they’re multi-tasking than users of other devices, providing an advertiser opportunity for simultaneous cross-screen exposure.

There is more passive video search discovery happening on OTT (24%) than other digital devices like PC (18%) and mobile (16%).

“Vevo is thrilled to be partnering with MAGNA to release the results of such a valuable study” says Kevin McGurn, President of Sales and Distribution, Vevo. “The fragmentation of content viewership is accelerating but music videos continue to aggregate huge audiences where advertisers’ messages reach and resonate with their consumers. The MAGNA findings help us to understand co-viewing behaviors, what makes viewers more receptive to advertising, how they engage with what screen and for what purpose. These valuable insights enable us to recommend smart, actionable media solutions to our advertisers across all audiences.”

“The industry tends to focus on mobile and OTT, but the truth is that people are using several devices and we need to understand the nuances of why/when,” said Kara Manatt, SVP, Group Director, Intelligence Solutions, MAGNA Global. “People are focused when listening to rock music, excited when watching action movies…their mood states vary wildly throughout the course of a day and so does their openness to receiving an ad. Brands that understand the mood behind the action are dramatically more likely to grab the attention of listeners and viewers.”

MAGNA is the centralized IPG Mediabrands resource that develops intelligence, investment and innovation strategies for agency teams and clients. We utilize our insights, forecasts and strategic relationships to provide clients with a competitive marketplace advantage.

MAGNA harnesses the aggregate power of all IPG media investments to create leverage in the market, negotiate preferred pricing and secure premium inventory to drive maximum value for our clients. The MAGNA Investment and Innovation teams architect go-to-market investment strategies across all channels including linear television, print, digital and programmatic on behalf of IPG clients. The team focuses on the use of emerging media opportunities, as well as data and technology-enabled solutions to drive optimal client performance and business results.

MAGNA Intelligence has set the industry standard for more than 60 years by predicting the future of media value. The MAGNA Intelligence team produces more than 40 annual reports on audience trends, media spend and market demand as well as ad effectiveness.

About IPG Media Lab

Part of the Interpublic network, the IPG Media Lab identifies and researches innovations and trends that will change the media landscape and how brands engage with their audiences. Since 2006, the Lab has worked with our clients and with industry partners who can help them best adapt to disruptive change. Its expertise, resources and consulting services also help to inform the learnings, strategies and business outcomes of all Interpublic agencies. For more information, please visit www.ipglab.com or follow @ipglab.

About Vevo

Vevo is the world’s largest all-premium music video provider, offering artists a global platform with enormous scale through its distribution partners. Vevo connects artists with their audience globally via music videos and original content, working directly with them to find unique ways to bring their music to life visually. Vevo also works with emerging artists, providing them with a platform of global scale and reach, to find and grow their audience. Reaching 26 billion monthly views globally, Vevo has over 450,000 music videos in its catalogue.

December 10, 2019

TV Has a Viewability Problem Similar to Digital, Says New Study from IPG Media Lab & TVision

NEW YORK–According to a new study by IPG Media Lab, using data from TVision, TV has a viewability problem similar to that of digital. The study, “Quantifying TV Viewability,” reveals how often people are in the room when ads air and how this varies by daypart, position in ad pod and ad length.

“It’s vital for brands to have this information so they can target the right audiences and make the most of their TV campaign strategies.”

“Viewability has long been a term of discussion in the digital advertising landscape but now the industry is realizing just how difficult it is to measure linear TV’s viewability as well, and track exactly how and when ads are being viewed,” said Chad Stoller, Managing Partner, IPG Media Lab. “It’s vital for brands to have this information so they can target the right audiences and make the most of their TV campaign strategies.”

IPG Media Lab analyzed six months of TV viewing behavior data from TVision, leveraging both computer vision technology and automatic content recognition (ACR) to detect when an ad is playing, who is in the room at the time, and whether each person is focused on the TV. Individuals are weighted to represent U.S. general TV population demographics. Viewability is defined as a viewer being in the room for two or more seconds while the ad is on-screen.

According to the study, there are a number of factors that affect TV viewability, which include ad length, position in the pod, and time of day. Additionally, viewability varies based on advertiser. On average, the viewability of a campaign tended to have some inconsistency across different categories like CPG, Health, Office Services and QSR. Comparing TV’s viewability to that of digital ads, the study found that 71% of ads aired on TV were viewable, compared to 69% of ads served via digital video. TV’s viewability problem is consistent across dayparts and genres, and not isolated to either. Even prime time, often the most valuable slot, has a TV viewability of 76%, which does not significantly stand out compared to other dayparts.

Additional key findings from the study include:

On average, 29% of TV ads are not viewable, while 71% are viewable

Out of 5,961,757 TV impressions analyzed, 4,164,261 of those were viewable

Viewability varies by vertical. CPG Food’s average viewability was at 71%, Insurance at 71%, Pharmaceuticals at 75%, and Recreational at 65%

When examining viewable ads across CPG, Health, Office Services and QSR, 43% – 64% of impressions for each are in the target audience, while the remainder are not

While the industry moved to shorter ads, longer ads are more viewable. However, 30-second ads had less than twice the viewability of 15-second ads

While the first ad in a pod has the highest viewability at 72%, it may not be worth a premium. Even the last ad in a pod, which has the lowest viewability, is still at 70%

“With the television market representing more than $59 Billion in 2019, TV remains a key investment for reach, making it imperative for brands and media sellers to gain a deeper understanding of how people actually watch it,” said Luke McGuinness, President, TVision, the data source for this study. “The study quantifies just how much waste – and opportunity – there is for TV advertising that can make a real impact in capturing audience attention and driving effectiveness.”

Part of the Interpublic network, the IPG Media Lab identifies and researches innovations and trends that will change the media landscape and how brands engage with their audiences. Since 2006, the Lab has worked with our clients and with industry partners who can help them best adapt to disruptive change. Its expertise, resources and consulting services also help to inform the learnings, strategies and business outcomes of all Interpublic agencies. For more information, please visit www.ipglab.com or follow @ipglab.

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Solving Brand Suitability

October 18, 2019

NEW STUDY FROM MAGNA REVEALS IMPACT OF HUMAN-IN-THE-LOOP CONTEXTUAL TARGETING ON SOLVING BRAND SUITABILITY AND DRIVING MORE EFFECTIVE OUTCOMES

The Study, Conducted by Magna and Zefr Explores The Impact of Machine Learning Combined with Human Supervision on Brand Suitability

LOS ANGELES – October 17, 2018 – “Human in the loop” contextual targeting – which uses brand preferences to power machine learning that is overseen by humans – is dramatically more effective than traditional modes of ad targeting, according to “Solving Brand Suitability,” a new study by MAGNA and the IPG Media Lab conducted with Zefr, the Contextual DMP™ for brands and agencies.

The study aimed to provide a foundational understanding of how brands can better achieve “brand suitability,” defined by advertisers as their unique positive and negative contextual preferences. Advertisers are increasingly focused on how different targeting methods fare in achieving it.

The study found that just 25% of consumers think brands are doing a good job of advertising on YouTube and only 18% of those who expect relevance between the ads and the video said that the ads are typically aligned with the videos they are watching. The study then explored different methods marketers could employ to improve “Brand Suitability.” Nearly 4,000 consumers were surveyed on their reactions to ads from three brands across verticals – Nationwide (insurance), Ubisoft (gaming) and Scotts Miracle Grow (paper/manufacturing). Ads were delivered to consumers via different forms of targeting: demographic; channel; keyword; and “human in the loop contextual targeting” (where a team consistently reviews videos in order to train machine learning models). The study revealed that ads delivered through “human in the loop” contextual targeting outperformed all other methodologies in a number of key metrics:

Relevance: 64% of consumers felt ads delivered via “human in the loop” contextual targeting are relevant (48% for channel targeting, 52% for demo targeting and only 44% for keyword targeting).

In-Market Reach: 82% of consumers reached via “human in the loop” contextual targeting were in-market consumers for the product, as ads are naturally reaching a more relevant audience.

Better Experiences: The same creative is received significantly more positively when delivered via “human in the loop” targeting. Consumers ranked the ads higher quality (83%) as well as more authentic (64%) and innovative (57%) – outperforming all other targeting methodologies.

Consumers Are More Positive on the Brand: Respondents view brands overall more positively when targeted via “human in the loop,” describing them as more savvy and thoughtful vs. the same ad targeted via the other methodologies.

…And They’re More Likely to Buy: The same ad generates nearly double the purchase intent for respondents targeted through “human in the loop” (+11%) than the next most powerful methodology – keyword targeting (+6%).

“Contextual targeting is highly nuanced for each brand, especially in video, and traditional methodologies like static ‘whitelists’ and channel targeting often miss the mark, negatively impacting reach and wasting valuable media dollars,” said Rich Raddon, co-CEO of ZEFR. “This study provides valuable industry insights on how brands can take control with human-in-the-loop contextual targeting and increase the impact on every part of the funnel, from in-market reach to purchase intent.”

A somewhat unexpected insight revealed in the study is the considerable opportunity for advertisers to reach audiences by expanding their definitions of “quality” video. 44% of content machines identify as low-quality is perceived as high-quality by consumers who view it as enjoyable and interesting. The study shows that in video, quality is often in the eye of the beholder, and brands can succeed by tapping into this significant pool of largely uncharted, brand-suitable ad inventory.

UM’s Chief Digital and Innovation Officer, Joshua Lowcock said. “This is a firm reminder context matters as much as the data used to find an audience. The more aligned the ad is with content, the more likely consumers are to view the brand as innovative, savvy, trustworthy and one for which they will pay more. Using human-supervised machine learning to help find suitable content is one way of finding that balance.”

Zefr is a contextual technology company that delivers precise and effective contextual solutions for brands and agencies. Its Contextual DMP™ is an identity-less solution that enables brands and agencies to capture, organize, and activate their nuanced contextual preferences at scale, for video and beyond. By leveraging proprietary Human-in-the-Loop technology, the company builds customized and nuanced contextual solutions for major national brands and advertising agencies. The company is headquartered in Los Angeles, California, with offices in New York, Chicago, Toronto and London. For more information, go to: http://zefr.com

About IPG Media Lab

Part of the Interpublic network, the IPG Media Lab identifies and researches innovations and trends that will change the media landscape and how brands engage with their audiences. Since 2006, the Lab has worked with our clients and with industry partners who can help them best adapt to disruptive change. Its expertise, resources and consulting services also help to inform the learnings, strategies and business outcomes of all Interpublic agencies. For more information, please visit www.ipglab.com or follow @ipglab.

About MAGNA

MAGNA is the centralized IPG Mediabrands resource for market intelligence, media investment and innovation strategies. The agency utilizes its insights, forecasts and strategic relationships to provide clients with a distinct marketplace advantage.

MAGNA harnesses the aggregate power of all IPG media investments to drive maximum value for its clients through preferred pricing and premium inventory. The agency’s Investment and Innovation teams architect go-to-market media strategies across all channels including linear television, print, digital, programmatic and emerging media. MAGNA is a leader in generating data and technology-enabled solutions that drive optimal client performance and business results.

The agency’s Intelligence unit has been a coveted source of crucial industry information, including media value predictions, for more than 60 years. It produces more than 40 annual reports on audience trends, media spend and market demand as well as ad effectiveness. For more information, please visit https://magnaglobal.com/.

About MAGNA

MAGNA is the centralized IPG Mediabrands resource that develops intelligence, investment and innovation strategies for agency teams and clients. We utilize our insights, forecasts and strategic relationships to provide clients with a competitive marketplace advantage.

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